LEGISLATIVE SERVICES AGENCY OFFICE OF FISCAL AND MANAGEMENT ANALYSIS 200 W. Washington St., Suite 301 Indianapolis, IN 46204 (317) 233-0696 iga.in.gov FISCAL IMPACT STATEMENT LS 6065 NOTE PREPARED: Jan 27, 2022 BILL NUMBER: SB 17 BILL AMENDED: SUBJECT: Material Harmful to Minors. FIRST AUTHOR: Sen. Tomes BILL STATUS: CR Adopted - 1 st House FIRST SPONSOR: FUNDS AFFECTED:XGENERAL IMPACT: State & Local XDEDICATED FEDERAL Summary of Legislation: The bill removes schools and certain public libraries from the list of entities eligible for a specified defense to criminal prosecutions alleging: (1) the dissemination of material harmful to minors; or (2) a performance harmful to minors. It adds colleges and universities to the list of entities eligible for a specified defense to criminal prosecutions alleging: (1) the dissemination of material harmful to minors; or (2) a performance harmful to minors. Effective Date: July 1, 2022. Explanation of State Expenditures: Summary – The number of new cases that could be prosecuted under this bill is expected to be minor. As a result, the bill will likely have minimal impact on state expenditures. Under current law, state education institutions could be prosecuted for either disseminating material that is harmful to minors or permitting performances that are harmful to minors and cannot offer a legal defense. This bill would allow them to have a legal defense for either circulating certain material or permitting certain performances. Additional Information – Between FY 2016 and 2021, an average of 19 persons per year were convicted and sentenced for disseminating materials that were harmful to minors as either Class D or Level 6 felonies. Of those who were convicted and sentenced for a Level 6 felony, 8% were confined in a DOC facility with an average sentence of 2.06 years. A Level 6 felony is punishable by a prison term ranging from 6 to 30 months, with an advisory sentence of SB 17 1 1 year. The sentence depends on mitigating and aggravating circumstances. Assuming offenders can be housed in existing facilities with no additional staff, the marginal cost for medical care, food, and clothing is approximately $4,333 annually, or $11.87 daily, per prisoner. However, any additional expenditures are likely to be small. Explanation of State Revenues: If additional court cases occur and fines are collected, revenue to both the Common School Fund (from criminal fines) and the state General Fund (from court fees) would increase. The maximum fine for a Level 6 felony is $10,000. However, any additional revenues would likely be small. Explanation of Local Expenditures: Summary - If more defendants are detained in county jails prior to their court hearings, local expenditures for jail operations may increase. However, any additional expenditures would likely be minimal. The bill provides that schools or libraries could be charged with committing a Level 6 felony for disseminating materials or conducting performances harmful to minors under IC 35-49-3-3. Additional Information – Of those who have been convicted and sentenced for disseminating materials that are harmful to minors as a Level 6 felony, 84% were confined in a county jail prior to trial. The average cost per day to incarcerate a prisoner is approximately $54 based on the per diem payments reported by U.S. Marshals to house federal prisoners in 16 county jails across Indiana during federal FY 2017. These offenders could also be confined in a county jail post sentencing, or supervised on community corrections, probation, or both. Explanation of Local Revenues: If additional court actions occur and a guilty verdict is entered, local governments would receive revenue from court fees. However, the amounts would likely be small. State Agencies Affected: Department of Correction. Local Agencies Affected: Trial courts; local law enforcement agencies; state education institutions; school corporations; public libraries. Information Sources: CY 2016 - 2021 Abstracts of Judgment, Indiana Supreme Court; U.S. Marshals. Fiscal Analyst: Corrin Harvey, 317-234-9438 SB 17 2